Analyst Says It’s Time For Bitcoin, But What’s Important About $58,000?

A crypto analyst has pinpointed critical price levels from past cycles on the Bitcoin chart that could determine the cryptocurrency’s next moves in this cycle. He has highlighted Bitcoin’s former all-time high target of $65,000 and a distinct 200-week Simple Moving Average (SMA) at $58,000 as key levels to watch. 

Crypto analyst VirtualBacon has taken to X to share new technical chart analysis, outlining two critical Bitcoin price levels he believes investors and traders should watch as the cryptocurrency continues its downward slide. Elaborating further in a video, VirtualBacon pointed to $65,000 and $58,000 as the zones worth paying attention to for anyone seeking a good buy opportunity in the current market environment. 

VirtualBacon highlighted $58,000 as his most closely watched level, where the 200W SMA currently resides. The analyst described this indicator as one of the most consistently reliable buying zones in Bitcoin’s history, citing a track record spanning multiple market cycles.  

He noted that during the 2015 bear market, Bitcoin’s price touched the 200W SMA four times without ever closing below it on a weekly candle. In 2018, the 200W SMA marked the absolute bottom of that cycle’s sell-off. The COVID-19 crash of 2020 also found support precisely at this same level. The one exception came in June 2022, when the price briefly wicked below the average before consolidating, then declined further by 25% following the collapse of FTX later that year. 

VirtualBacon acknowledged the 2022 breakdown but emphasized that the 200W SMA near $58,000 remains a highly significant level, given how consistently it has served as a floor throughout Bitcoin’s history. In his view, the $58,000 level represents an area where long-term investors have historically stepped in, often accumulating at the bottom ahead of a strong price rally. 

In his analysis, VirtualBacon identified $65,000 as the first level to watch, which corresponds to Bitcoin’s previous all-time high from the 2021 bull cycle. The analyst noted that Bitcoin has already reached this area in the current cycle, arguing that, historically, former ATHs often become meaningful support when price revisits them. For investors who agree with this thesis, the analyst has suggested considering $65,000 as a potentially reasonable entry point into the market. 

Notably, VirtualBacon’s Bitcoin analysis comes at a time when sentiment across the crypto market remains fragile, with retail investors unsure whether the decline in the BTC price signals a strategic buying opportunity or the beginning of a deeper pullback. 

Bitcoin’s prolonged sideways trading has also done little to restore confidence, instead fueling fear among market participants. Earlier this week, the cryptocurrency briefly fell below $64,000 after reports emerged about the US and Israel airstrikes on Iran. The cryptocurrency has since rebounded above $70,000, marking a 24-hour increase of more than 8%.